Information About UK Property Finance

Owning a property is everyone’s dream.  The country of United Kingdom which has prominent cities and towns, makes for an ideal place to own a property.  According to the latest report, Britain is trying to build more houses and change it’s scheme of buying property, so that buying it becomes an easy task. To know more, read about the latest information on Property Finance in UK.

Property Finance in UK – Things that you must know

• According to the latest reports, the housing prices in Uk rose by 11.1 pc in the month of May. The Government has also started it’s shared equity and mortgage scheme wherein it is offering support to first time buyers to help buy their own property.  This scheme has  open doors for many buyers to buy property in Britain.  Low mortgage rates and the growing interest of the consumers on the back of improving economic condition has led to the stimulating demand for property in UK, which has also resulted in the increase of housing prices by 11% in the month of May.

• The stimulating demand for a property in UK has also made it difficult to get the home loans approved.  The home loan proposals have significantly fallen in the month of April. This is an indication of the fact that the government has proposed stringent lending rules for buying housing market.  The slowdown in the approvals has led to changing policies that came into force in April,which requires banks to impose tougher affordability-tests on the borrower.

• Traditionally, the loan and mortgage industry in UK has been controlled by the building societies.  Over the years,  fixing rates of mortgage for a shorter period of time has become very popular and the mortgage for a period of ten years could be fixed for the potential mortgage loan borrower.  The mortgage loan is dependent on various policies. Different banks have different policies and it is up to the borrower to choose the desired policy. It is a very personal choice but it is highly recommended to read and study the rules and regulations of various banks in UK.

• The demand for a house in Uk is outstripping the supply and therefore, the government is taking strict policy measures to control the condition and increase the stock. In such a situation, it is also suggested that the potential house buyer  must keep his/her options open. One can also look out for the rented apartments for the time being.  The purpose is to let the buyer be open to all the other possibilities. It will take a lot of time for your loan approval to get sanctioned or for you to get the desired house in UK. Don’t compromise on your need ,but wait for the best property deal.

Property Finance in UK has become difficult over the years. The policies of the government are expected to change as it has a direct link with the overall economic condition. While new policies are being formulated for first time buyers, the state is also taking up measures to increase the stock for more properties to come in future.  

About the Author

The author of this article is associated with Vision Finance, which offers Development Finance, Bridging Finance, Secured Loans, and Commercial Mortgages. Find more information, about property development finance here.